Giant Markets Neglected by the Turkish Furniture Sector

One of the fields where Turkey has trade surplus is “furniture” sector. The sector, concentrated in İnegöl, Ankara and Kayseri in our country and having power in world competition in quality / price index, has generally directed its exports to Middle East market.

The sector representatives  who are supported by TR Ministry of Commerce through UR-GE (Support Development of International Competitiveness) projects, are also engaged in commercial delegation visits and bilateral business meetings specifically in Dubai, Qatar, Iraq and Saudi Arabia.

So, how is the data in the context of import in furniture trade in the world?

  • USA:  $ 67 Billion
  • Germany: $ 20 Billion
  • UK:  $ 11 Billion
  • France: $ 11 Billion
  • Canada: $ 9 Billion
  • Japan: $ 9 Billion
  • The Netherlands: $ 6,5 Billion
  • Spain: $ 4,5 Billion

To sum up, purchase is performed by North America and Europe in World furniture trade. The country that sends the most products to the biggest importers is of course China. So in what condition is the export of our furniture sector in this gigantic market?

Total imports of the first 8 countries: 138 Billion USD

The total export of Turkey to these eight countries is only 624 Million USD

It is very clear that focusing on the first 8 countries for the transformation of the furniture sector is highly beneficial. At this point, the first method of penetrating the specified countries will start with the adaptation of the sector to the design language settled in the countries and the business procurement process.

The existing potential in Turkey opening up to the knowledge of the sector first through trade missions, market scouting visits, bilateral business meetings, VIP procurement committee organizations should be the primary goal.

The export of the Czech Republic with a population of only 10 millions is 5 billion USD ; the export of Poland is  12 billion USD (about 6 times the amount of Turkey’s). In this regard, first, European barrier should be overcome through aggressive, markedly disciplined, frequent, continuous visits, delegations, bilateral negotiations and then North America should be held under a microscope as a priority region.

From where to start?

In the light of available information: Spain

We would like to point out the importance of starting from Spain as a major buyer country, closest to whose design language we manufacture the products.

The countries exporting most to Spain are listed below:

  1. China – 1,326,478,000 USD
  2. Portugal – 494,178,000 USD
  3. Germany – 438,922,000 USD
  4. Italy – 348,498,000 USD
  5. France – 288,868,000 USD
  6. Poland – 261,480,000 USD
  7. Morocco – 140,240,000 USD
  8. Romania – 110,612,000 USD
  9. Slovakia – 90,005,000 USD
  10. The Netherlands – 79,075,000 USD
  11. Hungary – 65,681,000 USD
  12. Vietnam – 59,019,000 USD
  13. Serbia – 54,551,000 USD
  14. United Kingdom – 53,719,000 USD
  15. Lithuania – 51,569,000 USD
  16. Czechia – 51,056,000 USD
  17. Turkey – 47,367,000 USD
  18. USA – 43,258,000 USD
  19. Denmark – 36,028,000 USD
  20. India – 34,511,000 USD
  21. Indonesia – 30,455,000 USD
  22. Belgium – 30,282,000 USD
  23. Sweden – 26,066,000 USD
  24. Bulgaria – 23,321,000 USD

Turkey is in the 17th place in furniture export to Spain. It is also under the small countries (e.g. Lithuania – Czechia – Slovakia – Hungary) that cannot be rivals in the real market.

Our activity proposal for the cooperation organizations leading the sector is as follows:

  • Preparing a detailed report on the country
  • Doing import database work and determining the target cities and the firms
  • Determining the cultural design expectations and preparing the model scale changes according to Spain market – identifying the brochures related to the collection
  • Preparing the mentioned contents in Spanish
  • Putting forth the purpose of advertising activities and also performing advertising activities
  • Organizing field scouting and trips
  • Doing significant promotional activities related to bilateral business meetings
  • Performing bilateral business negotiations
  • Performing procurement committee activities

There are two cities in the country that need to be visited firstly. The first is Valencia and the second is Madrid. The correct starting points have thus been determined in this way in order both to understand the general design language and to meet the decision makers of the current trade.

It is of importance both to make bilateral business negotiations in a center and to visit large buyers on site.

As GlobalMark, we are in a position to realize successful marketing activities in the Spanish market, where all our infrastructure is ready, for both furniture sector and all the sub-sectors supplying furniture sector, such as upholstery fabrics, processed wood and connecting equipments manufacturers.

(Sources: / 2017 year-end report)